FV

Syntax

FV (Rate, NPer, Pmt, PV, {Type})

Description

The FV function returns the Future Value of an investment with a present value of PV, where Pmt is invested for NPer periods at Rate per period. If Type is omitted or zero, FV assumes the investment is an ordinary annuity. If Type is nonzero, FV assumes the investment is an annuity due.

Note:

Enter negative amounts for money out of your pocket, or positive amounts for money coming to you.

Example

Suppose that you deposit USD 1000 at the end of each year in a savings account that earns 6 percent per year. To determine the value of the account after 8 years, use the following formula:

FV(0.06, 8, -1000, 0) = 9897

If you deposit the USD 1000 at the start of each year, use the following formula for the VALUE_OF_ACCT data cube. The 1 for the Type argument indicates an annuity due:

FV(0.06, 8, -1000, 0, 1) = 10491

If the account already has USD 3000 in it at the start of the 8 years, use the following formula:

FV(0.06, 8, -1000, -3000, 1) = 15273